Binance, a cryptocurrency exchange available in approximately 100 countries, has issued a cease and desist notice to a fraudulent entity known as Binance Nigeria Limited. This move came after the Securities and Exchange Commission of Nigeria released a circular stating that Binance Nigeria Limited was illegal in the country. However, Binance denied any affiliation with the said entity and expressed its intention to seek clarity from the Nigerian SEC.
In the meantime, Binance is also facing legal troubles in the United States, where the Securities Exchange Commission (SEC) filed 13 charges against Binance entities and their CEO for operating unregistered exchanges, broker-dealers, and clearing agencies and misrepresenting trading controls, among others. The U.S. SEC accused Binance and its CEO of failing to register despite earning $11.6 billion from U.S. customers. In a recent development, a U.S. judge granted approval to an agreement reached between Binance.US, Binance, and the SEC, which resulted in the dismissal of a temporary restraining order that aimed to freeze all Binance.US assets.
Binance registered its headquarters in the Cayman Islands in 2017 and also registered Binance Investments Company in Seychelles in 2019. Despite these registrations, Binance’s legal troubles continue to mount, casting a shadow over its prospects.